How strong is the Greenville area housing market? How can a first-time home buyer,
an investor or a homeowner listing his home get the best deal possible? No one can
answer those questions definitively. However, the most recent market statistics
published by GGAR (Greater Greenville Association of Realtors) provide clues. Here
Mick and I highlight key insights about the upstate housing market as of August 31,
2019, and offer suggestions about how you may profit from it. If you’re in a big hurry,
skip to the “key take-aways” section below.
What does a single-family home cost in the Greenville area?
-The August 2019 median price was $220,000. This has risen steadily over the
past 4 years. GGAR listed the local median home price as $170,000 in late 2015.
o A strong local economy accounts for part of the increase.
o Another factor is the bevy of recent surveys that include Greenville as one
of the best places to live or as an up and coming vacation spot or a foodie
-The August 2019 average (mean) price of a home was $255,470, up from
$239,792 just a year ago.
-Increasing home prices have been accompanied by a decrease in the housing
How Many Homes Are Available to Purchase?
-More homes are available overall. The number of new listings increased by 5.3%
over the previous 12-month period. Comparing the month of August 2018 to
August 2019 shows an even bigger increase of 8.7% in the number of new
listings. Upstate home purchasers generally have more listings from which to
choose.
-There’s an exception. Buyers looking for homes priced at $100,000 or less
actually have fewer options. Inventory in this range dropped a whopping 21% in
one month.
- Fewer homes are already under contract. Although the number of new listings
increased a bit, the number of homes under contract dipped by almost 4% so far
in 2019 compared to the same period in 2018.
How Long Do Homes Stay on the Market?
- Homes are staying on the market just a little longer. Overall, for the first 8 months
of 2019, homes are staying on the market 1 extra day compared to the same
time period in 2018, up from 52 cays to 53 days.
-The upstate average DOM (days on market) of 53 is well under the national
average of 68.
-Price is a huge factor here. Greenville area homes priced between $100,000 and
$150,000 were under contract in only 33 days. Conversely, homes priced above
$300,000 remained on the market an average of 72 days.
- Amenities and home décor also affect how quickly a home sells. This is
especially true in a market like ours where new construction is thriving and new
homes comprise a significant number of listings.
What are the key take-aways for anyone buying or selling a family home?
- First-time home buyers looking for modestly-priced homes have few options and
must be ready to act fast. They need to be pre-approved for financing, willing to
present strong offers, and able to close quickly. We recently listed a home just
above $150,000. In 5 days the seller had multiple offers. Our seller was able to
choose between an offer with a contract price above the asking price, one that
didn’t require any closing costs, and one that fell in between the two. While that
scenario is very attractive to a seller, it presents a real challenge to a
buyer—especially a typical first-time home buyer with relatively low down
payment and limited cash available for closing costs.
- In our market sellers with homes priced above $300,000 now face an
increasingly strong buyer’s market. Competitive pricing, excellent staging, and
wonderful photos are essential to prevent homes in this price range from
languishing on the market. The longer homes like this sit, the deeper the
discount that buyers expect (and usually receive.)
- Owners of older homes face increasing competition from new construction. Drive
the Greenville area and you can’t miss the number of new housing
developments under construction. Generally new construction means 1) an
increase in housing inventory, and 2) a decrease in the value of older homes,
especially if they need extensive updates. Older homes with only 1 bathroom are
increasingly unattractive to buyers, especially if they are still wearing their 70’s
garb.
For more real estate tips, or to receive a free market analysis of the value of your home,
contact Walker’s Riverside Properties at mickwalker@kw.com or
sandywalker@kw.com.